Naming Your Price

Before you start your foreclosure search, be sure to figure out the top price you’re willing to pay. You’ll want to start out making a bid that’s at least 20% lower than your top price. Also, be sure to compare the asking price to the price of other foreclosures in the area.

In today’s real estate market, the buyers have the power. This is especially true of the foreclosure market. Don’t pay more than you have to. Some states offer easily accessible information about every house sold, so be sure to do some advanced legwork before you bid.

Foreclosure homes often come with strings attached. Don’t let a high sale price be one of them. And be sure to go through the house with an inspector before you decide how much you’d be willing to spend.